Distinguish between capital receipt and revenue receipt. – InterviewSolution

1.

Distinguish between capital receipt and revenue receipt.

Answer»

S. No.	Characteristics	Capital Receipt	Revenue Receipt
1	Nature	Non- recurring in nature.	Recurring in nature.
2	Size	Amount is generally substantial	Amount us generally smaller.
3	Distribution	These amounts are not available for distribution as profits.	The excess' of revenue receipts over the revenue expenses can be used for distribution as profits.

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